13 October 2009 21:19 [Source: ICIS news]
By Judith Taylor
HOUSTON (ICIS news)--EU biodiesel producers are closely watching Argentina’s growing exports of the biofuel, industry sources said on Tuesday.
“Europe needs low cost providers like
The European Commission (EC) voted in March to support temporary duties imposed on
Argentine refiners stepped up to fill the gap. The country’s producers exported more than 85,000 tonnes of biodiesel to
The EBB is now considering its next step and is holding informal discussions with the European Commission (EC) trade board, said EBB spokeswoman Amadine Lacourt.
“It’s an ongoing discussion with our members and the EC to consider what is now happening in the market,” Lacourt said. “We do not see why Argentine biodiesel, when exported to EU, should have zero tariffs.”
The EBB may have a more difficult time making a complaint against biodiesel from Argentine than from the
There is a Value-Added Tax (VAT), somewhat like a sales tax, that is levied on raw materials when purchased to make biodiesel, according to CADER reports. The VAT is reimbursed by the government once the final product is exported.
The VAT is one item being looked upon by the EBB and the EC as a potential subject for investigation as a subsidy for
US-based traders and several former biodiesel producers who preferred to not be named said the EC could find it difficult to prove such differential excise taxes are countervailing duties as was done in the case of the US subsidy.
US players said it appeared unlikely a case could be made that would put
“You can’t call it a subsidy because it isn’t a direct subsidy,” one former
The EBB was also examining
($1 = €0.68)
Additional reporting by Ben Lefebvre
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